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International Construction Law Review

SALIENT FEATURES OF THE PROPOSED NEW PORTUGUESE ARBITRATION ACT

PATRÍCIA ROSÁRIO1

JD, LL M Partner, Santos Rosádrio e Abrantes Garcia Avogados, Portugal

Abstract

Portugal is committed to international arbitration. The proposed new Portuguese Arbitration Act offers businesses an alternative and user-friendly forum to resolve their disputes. The proposed arbitration legal framework is in line with both the philosophy and the language of the UNCITRAL Model Law and modern arbitration practices strengthening Portugal’s position to become an international centre for arbitration when it comes into force.
This paper will focus on the current state of arbitration and construction law in Portugal and on the advantages of Portugal as an international arbitration centre, in particular when it comes to the resolution of domestic and international construction disputes.

1. Introduction

In line with contemporary practice, Portugal established a working group, composed of renowned legal scholars and practitioners, determined to replace entirely the 1986 arbitration legal framework with a new system, one which would be more suited to modern arbitration trends and needs.
In March 2010, the board of members of the Portuguese Arbitration Association prepared a new version of an Arbitration Act for submission to the Secretary of Justice. The proposed new Act is currently under scrutiny.
It is expected that this new and innovative legal framework will benefit several economic sectors, in particular the construction industry.

2. The relevance of the new Act to the construction industry

The construction sector plays a key role in the Portuguese economy2 by delivering essential infrastructure projects while generating valuable


Pt 1] The Proposed Portuguese Arbitration Act

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